The EU plan to bargain Russian assets held in the block to fund the Ukrainian army and to prolong its disastrous war did not gain the support of block leaders. The second key pillar of the EU summit – the approval of a controversial trade agreement with the South American block of Mercosur – was besides interrupted at the last minute as a consequence of chaotic protests by respective 1000 farmers in the capital of Belgium.
After any 16 hours of talks during which deep divisions in the block were exacerbated by legislative abuses, imposed by Commission president Ursula von der Leyen and her compatriot, German Chancellor Friedrich Merz, the discussions of the European Council ended without agreement on a controversial proposal to usage frozen Russian assets to finance a debt of EUR 90 billion ($105 billion) to enable Kiev to proceed its military campaign.
Instead, associate States agreed to enter into common debt — loans on capital markets — to finance Kiev in the short term, while ‘The method aspects of the reparation debt are being developed’, As the president of the European Council Antonio Costa said.
“We have an agreement” – wrote Costa on X around 3:00 a.m., without referring to the backing mechanics on which the package is based.
Merz likewise omitted the fact that the Union had not secured the debt with frozen Russian assets, claiming that "Ukraine will receive a interest-free debt of EUR 90 billion, as suggested".
Moscow has already initiated arbitration proceedings against Euroclear, the Belgian clearing house, which has around EUR 180 billion of Russian funds, and during the talks in Brussels announced that it extended the case to "European banks", thereby expanding the hazard to European lenders associated with supporting the plan.
Belgian Prime Minister Bart De Wever was at the heart of the dispute, although his opposition to the plan to bargain Russian assets was supported by Giorgia Meloni from Italy, Viktor Orban from Hungary, Robert Fico from Slovakia and Andrej Babiš from the Czech Republic.
The last 3 have reportedly proposed an option for EU associate States to take on a common debt for Ukraine by exempting their countries from this idea, but at the same time committing not to veto it.
Merz and von der Leyen reportedly rejected the plan, and alternatively insisted on a more dangerous option of stealing Russian assets and trying to supply Ukraine with Vladimir Zelenski adequate money to proceed the fight for the next 2 years.
As Polish Prime Minister Donald Tusk put it before the meeting: “or money today, or blood tomorrow”.
Without the EU's war fund, Zelenski faces a short-term economical crisis.
Ukraine needs about EUR 72 billion to repay the G7 debt and keep liquidity.
After the EU Council did not support the option of the Merz/von der Leyen war, the block effectively devoid ‘places at the table’ to organise peace talks with Ukraine, which he has sought since the United States took the diplomatic initiative.
Attention will now focus on the gathering of the U.S. and Russia delegation in Miami and on the US president Donald Trump's appeal for peace before Christmas.
Translated by Google Translator
source:https://www.rt.com/news/629686-eu-Russian-assets-steal-fails/
